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S08904 Summary:

BILL NOS08904A
 
SAME ASNo Same As
 
SPONSORMAYER
 
COSPNSRFAHY
 
MLTSPNSR
 
Amd §§1950 & 403-a, Ed L; amd §72-h, Gen Muni L
 
Relates to certain lease terms for BOCES properties increasing the maximum rental period to 20 years.
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S08904 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         8904--A
 
                    IN SENATE
 
                                    January 14, 2026
                                       ___________
 
        Introduced  by  Sens. MAYER, FAHY -- read twice and ordered printed, and
          when printed to be committed to the Committee on Education --  commit-
          tee  discharged, bill amended, ordered reprinted as amended and recom-
          mitted to said committee
 
        AN ACT to amend the education law and  the  general  municipal  law,  in
          relation to certain lease terms for BOCES properties

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subparagraph (a) of paragraph p of subdivision 4 of section
     2  1950 of the education law, as amended by chapter  374  of  the  laws  of
     3  2014, is amended to read as follows:
     4    (a) To rent suitable land, classrooms, offices or buildings upon or in
     5  which  to maintain and conduct such cooperative educational services and
     6  administrative offices for a period not to  exceed  [ten]  twenty  years
     7  [for leases entered into with public entities and twenty years for leas-
     8  es  entered  into with non-public entities] and to improve, alter, equip
     9  and furnish such land, classrooms, offices or buildings  in  a  suitable
    10  manner for such purposes, provided that: (1) before executing any lease,
    11  the board shall adopt a resolution determining that such agreement is in
    12  the best financial interests of the supervisory district and stating the
    13  basis  of  that  determination; (2) the rental payment shall not be more
    14  than the fair market value as determined by the board  and  provided  to
    15  the  commissioner;  (3)  The  board  discloses  any conflict of interest
    16  pursuant to subparagraph (c) of this paragraph, or any  other  potential
    17  or perceived conflict of interest, to the commissioner, and in the event
    18  of a conflict of interest or a potential or perceived conflict of inter-
    19  est,  provides  detailed documentation to the commissioner demonstrating
    20  that the cost of the lease is not more than fair market value;  and  (4)
    21  upon  the consent of the commissioner, renewal of such lease may be made
    22  for a period of up to ten years. Nothing contained herein shall  prevent
    23  the  board  from  entering into a lease agreement which provides for the
    24  cancellation of the same by such board upon: (i) a substantial  increase
    25  or  decrease  in  pupil  enrollment; or (ii) a substantial change in the
    26  needs and requirements of a board of  cooperative  educational  services
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14261-02-6

        S. 8904--A                          2
 
     1  with respect to facilities; or (iii) any other change which substantial-
     2  ly  affects  the  needs or requirements of a board of cooperative educa-
     3  tional services or the community in which it is  located.  No  lease  or
     4  other  contract  for  the occupancy of such land, classrooms, offices or
     5  buildings shall be enforceable against the board of  cooperative  educa-
     6  tional  services  unless  and until the same shall have been approved in
     7  writing by the commissioner. In the case of  a  lease  longer  than  ten
     8  years,  the  commissioner's written approval must include a finding that
     9  the proposed lease complies with all requirements of this paragraph  and
    10  would be more cost-effective than a lease of ten years or fewer.
    11    §  2.  Paragraph  (b)  of  subdivision  1, and subdivisions 3 and 5 of
    12  section 403-a of the education law, paragraph (b) of  subdivision  1  as
    13  amended  and  subdivision  5 as added by chapter 459 of the laws of 1979
    14  and subdivision 3 as amended by chapter 460 of the  laws  of  1979,  are
    15  amended to read as follows:
    16    (b) The term of the lease shall not exceed ten years, except when such
    17  lease  is established in accordance with subparagraph (a) of paragraph p
    18  of subdivision four of section nineteen hundred fifty of  this  chapter,
    19  such lease term shall not exceed twenty years.
    20    3.  The board of education or trustees of a school district are hereby
    21  authorized to lease real property upon such terms and conditions as  the
    22  board of education or trustees may deem appropriate to any person, part-
    23  nership  or  corporation  such board of education or trustees shall have
    24  determined who will provide the most benefit to the school district  for
    25  periods  not  to exceed ten years, provided however that property leased
    26  in accordance with subparagraph (a) of paragraph p of  subdivision  four
    27  of section nineteen hundred fifty of this chapter may exceed a period of
    28  ten  years.  Such  leases  may also be renewed for a period of up to ten
    29  years upon the consent of the commissioner.
    30    5. Notwithstanding the provisions of paragraph (b) of subdivision  one
    31  hereof the board of education or trustees of a school district are here-
    32  by  authorized  to  enter  into a lease agreement in accordance with the
    33  provisions of this section for a period in excess of ten years  subject,
    34  however,  to  voter  approval  by  referendum.  Provided however, leases
    35  established in accordance with subparagraph (a) of paragraph p of subdi-
    36  vision four of section nineteen hundred fifty of this chapter may exceed
    37  a period of ten years without voter approval by referendum; such  leases
    38  shall not exceed a period of twenty years.
    39    §  3. Subdivision (a) of section 72-h of the general municipal law, as
    40  amended by chapter 562 of the laws  of  1990,  is  amended  to  read  as
    41  follows:
    42    (a) Notwithstanding any provision of any general, special or local law
    43  or  of  any  charter,  the  supervisors of a county, the town board of a
    44  town, the board of trustees of a village, the board of fire  commission-
    45  ers  of a fire district, the board of estimate of a city, or if there be
    46  none the local legislative body of such city, and, in a  city  having  a
    47  population  of one million or more, the mayor, subject to disapproval by
    48  the council within thirty  days  following  receipt  of  notice  of  the
    49  approval  of  the mayor, may sell, transfer or lease to or exchange with
    50  any municipal corporation or municipal  corporations,  school  district,
    51  board  of  cooperative educational services, fire district, the state of
    52  New York, or the government of the  United  States  and  any  agency  or
    53  department  thereof,  either without consideration or for such consider-
    54  ation and upon such terms and conditions as shall be  approved  by  such
    55  officer  or body, any real property owned by such county, town, village,
    56  fire district or city; and any municipal corporation  or  fire  district

        S. 8904--A                          3
 
     1  may acquire or lease such real property as provided in this section. The
     2  term  of  any  lease  entered  into  pursuant  to the provisions of this
     3  section shall not exceed ten years [but nothing], unless  the  lease  is
     4  established in accordance with subparagraph (a) of paragraph p of subdi-
     5  vision  four  of  section nineteen hundred fifty of the education law in
     6  which case, such lease term shall not exceed twenty years. Nothing here-
     7  in contained shall prevent the renewal of any such lease.
     8    § 4. This act shall take effect immediately; provided,  however,  that
     9  the  amendments  to  subparagraph (a) of paragraph p of subdivision 4 of
    10  section 1950 of the education law made by section one of this act  shall
    11  not  affect  the  expiration of such subparagraph and shall be deemed to
    12  expire therewith.
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